CIT v. Sahara Asset Management Co. Pvt. Ltd. (2026) 484 ITR 625/ 183 taxmann.com 235 (Mad)(HC)

S.37(1): Business expenditure-Commercial expediency-Mutual fund-Fund manager-Assessing Officer cannot put himself in the armchair of the assessee and decide whether to incur expenses or not-Order of Tribunal affirmed. [S. 260A]

Dismissing the appeal, the Assessing Officer could not claim to put himself in the armchair of the assessee and assume the role to decide whether to incur the expenses and how much was a reasonable expenditure under section 37. There was no reason to interfere with the order of the Tribunal deleting the addition on account of mutual fund promotion expenditure and initial public offer expenditure. (AY. 2015-16)

Leave a Reply

Your email address will not be published. Required fields are marked *

*